Research On Bidding Strategy Based On Game Theory

Bidding is a systematic project involving a large number of stakeholders.Bidding is a smokeless war for enterprises participating in the market competition.From the target selection,to the formation of the team and the price decision,the decisions are due to success or failure of the Bidding.So the company needs make scientific and effective decisions.It is required the enterprise to use scientific and effective bidding strategies to select the bidding targets that meet the requirement,implement good incentives to relevant staff,formulate scientific and reasonable pricing model,and improve the comprehensive benefits of enterprises.Based on the previous studies of bidding strategies,this paper makes a preliminary study on bidding strategies by using game theory knowledge and taking Company A as a case study.Several important processes in the process of bidding are sorted out,including the target selection,the paper work of tenders and the pricing of tenders.Firstly,the entry model is used to analyze the selection of target.Secondly,the motivation of bidding team is discussed by using the dynamic game of complete information.Finally,the pricing process is discussed by changing the first-price sealed auction model and using the static game of incomplete information.Finally,a bidding strategy analysis system based on game theory is formed.It is used to verify the feasibility of the system by the projects that A company participates and proved the feasibility of the bidding strategy based on game theory.